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Climate change and adaptation in agriculture: Evidence from US cropping patterns

Xiaomeng Cui

Journal of Environmental Economics and Management, 2020, vol. 101, issue C

Abstract: Understanding how a changing climate alters regional comparative advantage is crucial for evaluating the economic impacts of climate change. I exploit temporal variation in decades-long averages of weather and estimate crop acreage elasticities with respect to climate change in the United States. I find substantial climate change adaptation through acreage adjustments in US agriculture. Climate change explains about 10–35% of the observed US corn and soybean expansion over the past 30 years, and climate-driven crop substitution has played an important role. The acreage response is heterogeneous across major and minor producing areas and across dryland and irrigated counties.

Keywords: Climate change; Adaptation; Comparative advantage; Acreage elasticities; Crop substitution (search for similar items in EconPapers)
JEL-codes: Q11 Q15 Q54 (search for similar items in EconPapers)
Date: 2020
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DOI: 10.1016/j.jeem.2020.102306

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Journal of Environmental Economics and Management is currently edited by M.A. Cole, A. Lange, D.J. Phaneuf, D. Popp, M.J. Roberts, M.D. Smith, C. Timmins, Q. Weninger and A.J. Yates

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